In late 2024, GBIG has identified 8,194 people employed in the Wisconsin’s pulp and paper manufacturing industries. We have witnessed over the past 30 years Paper Manufacturers shutting down their converting with limited in-house converting capabilities. We have witnessed more independent companies going into Converting! Today, the Paper Manufacturers are subcontracting and providing jumbo mill rolls to independent converting companies and paper distributors.
Converting Background
The converting industry in the past was included in the paper industry statistics. The statistics did not recognize non-paper converting segments like films, plastics, corrugated, nonwovens, and other converted products. We are witnessing the high-growth areas are the film and the plastics sectors. Paper converting is still strong with good potential for growth! Converters are frequently contract manufacturers, so it is not known the number of products and brands that are made for large consumer marketers. Private ownership and small businesses add to the unrealized details. The Green Bay Innovation Group has done extensive research and is breaking out the converting sector to better understand Converting and its impact on the Wisconsin Economy!
The Green Bay Innovation Group has put together updated information on the Converting Industry in Wisconsin. We recognize the “Converting Corridor™” from Green Bay to Milwaukee as one of the largest concentrations of Converters in the USA. Our extensive research is proving that the State of Wisconsin has Converters across Wisconsin. We have seen extensive growth in the Racine and Kenosha areas especially over the past 5 years. We have seen tremendous growth in the Madison area, especially in the film and plastics areas. We have seen the development of companies in Northwestern Wisconsin! We have attached a Power Point Presentation, and we continue to update it for 2025! GBIG goal it to better understand the Converting Industry by breaking out each sector to better provide annual revenue and the number of employees!
Our research has identified a much larger number of independent converters in Wisconsin that provide value-added materials – Paper, Film, Plastics, etc.
Without question, Wisconsin leads the nation in the Converting Industries! We understand Wisconsin has many converters who work with substrates including films/plastics, nonwovens, labeling materials, and other non-paper or laminated substrates that are not naturally part of paper and pulp statistics.
Notes, based on The Freedonia Group reporting on labels:
- Pressure-Sensitive Labels account for about 75% of label market demand and expected to remain the leader for the next few years at least. This market segment will grow to $21 billion in 2025.
- Heat and shrink labels are expected to expand at an above average pace since the Covid-19 pandemic.
- Growing popularity of specialized labels, including RFID-enabled and extended content types will propel gains.
- The promotion of high value and high performing labels such as durable types for automotive, appliance and electronics applications are also affecting growth.
- Printed labels are factors affected by technology including flexographic, lithographic, and digital.
Flexible Packaging Products include many converting processes:
- The steps in converted packaging include processes like basic slitting-winding, printing, laminating, coating, pouch-making, and items that protect contents. According to The Freedonia Group, the major suppliers of converted flexible packaging include Amcor, Sealed Air, Berry Global, Printpack, ProAmpac, and Sigma Plastics Group. Plastics and papers are key substrates.
We have defined converting as receiving raw materials on mill rolls and transforming them into value-added or finished products. There are examples of how the converting process may include single or multiple manufacturers.
Of the 261 Wisconsin Companies identified in a recent report, this is the breakdown per category:
- 16 Carton companies with in-house converting.
- 69 Independent converting companies.
- 13 Nonwovens processing companies with converting.
- 41 Corrugated segment companies with converting.
- 38 Flexible Packaging companies with converting.
- 69 Label Printing companies with converting.
- 13 Paper Mills with converting.
Additionally:
- Commercial Printer-Converters – 30 estimated
- Packaging-Converting – 53 Companies
- Total of All: 344
- Several companies convert across categories processing a mix of cartons, corrugated, flexible packaging, and labels.
Things to consider: Wisconsin has been known as a rich resource with a lot of innovation and technology.
- Wisconsin still is a top papermaking state and retains its reputation as number one.
- Wisconsin is a powerhouse in Digital Offset, Flexo, Gravure, Offset, Screen and Wide Format Printing.
- Wisconsin has a strong presence in nonwovens, converting wipes and other products.
Wisconsin is no longer a major player supplying printing & writing paper products with exceptions in tissue, towels, and specialty papers. Wisconsin companies are turning to Europe, Asia, Indonesia, and South America.
The converting industry is impacted greatly!
Converters are making choices. They include:
- Seeking new sources of supply nationally & internationally
- Changing materials due to short supplies and supply chain issues
- Realizing price increases due to reduced production of key materials.
Authors: Marty Ochs and Susan Stansbury